The project is based on a screenplay by Brandon and Phillip Murphy titled "The Bringing." It was acquired by Sony Pictures and Matt Tolmach Productions.
The 21-year-old Lam's body was recovered Feb. 21, 2013. Her death was ruled an accidental drowning by the coroner, though surveillance video from the hotel's elevator that showed Lam acting oddly sparked conspiracy theories about the incident.
Cecil Hotel is also known to have been a hangout of mass killers Richard Ramirez and Jack Unterweger.
According to a source with knowledge of the production, real-life accounts will be used as source material for a fictional tale of an investigator and his descent into madness while looking into deaths at the infamous hotel.
Lam, who was affected by
The Times has reported that the only ways to access Cecil Hotel's roof -- where the water tank is situated -- are via a locked door that only employees may access or a fire escape that is meant to be alarmed.
Tolmach would produce the film with Daniela Cretu of First Born Films.